Trump Wants to Control the Fed. History Says That's How Bear Markets Are Born.

The article warns that President Trump’s efforts to influence the Federal Reserve — including calls for out-of-schedule rate cuts and naming a nominee expected to lower rates — could undermine Fed independence and spur market instability. Drawing on historical examples (Nixon/Burns in the early 1970s and Erdogan’s Turkey), the piece argues politically driven rate cuts can reignite inflation, force bond markets to reprice long-term yields, weaken the dollar, and precipitate equity bear markets. The author cautions investors that loss of institutional trust, not just earnings weakness, can trigger broad market declines and urges preparedness for a potential bear market if the Fed’s credibility is compromised.